REE 3043 Study Guide - Quiz Guide: Rescission, Liquidated Damages, Financial Institution
Document Summary
Contract terms the arrangements agreed to by the parties such as price and date of closing. Contract conditions- refers to circumstances that must prevail, such as mechanical equipment being in good conditions & title being unencumbered. Closing- event at which possession and title to real estate normally are transferred from seller to buyer. The laws (called statue of fraud) of every state require that contracts for the sale and purchase of real estate be in writing to be enforceable. Legal title: ownership of a property; for real estate, a lawful claim, supported by evidence. Equitable title: the right of someone to obtain full legal title to real estate, provided the terms and conditions of the document creating the equitable title are fulfilled. Buyer obtains equitable title when a contract for sale of real estate is fully signed. Meaning the seller cannot sell to somebody else.
